Unit x Organizational Change & Development

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    ORGANIZATIONAL CHANGE

    & DEVELOPMENT

    UNIT X

    BY-PROF.RASHMI GUPTA

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    NOTHING IS PERMANENT IN THIS WORLD BUT

    change

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    WHAT IS CHANGE?

    To survive, organizations must train their managers &

    work force to cope with new demands,new problems and

    new challenges.

    Planned change reflects

    Change in goals & operating philosophy to improve the

    ability of the organization to adapt to the changes in the

    environment.

    Involves new policy implementation to change

    employee behavior.

    Change can be either a) planned or b)routine.

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    ORGANISATIONAL CHANGE

    Organizational change is the process by which organizations

    move from their present state to some desired future state to

    improve their effectiveness. Characteristically change is-

    Vital

    Process not an event

    Fast and is likely to increase further

    Directive or participative

    N

    atural or adaptive Interdependent on organizational environment

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    Types of Organizational Change

    Anticipatory changes: planned changes based onexpected situations.

    Reactive changes: changes made in response to

    unexpected situations.

    Incremental changes: subsystem adjustmentsrequired to keep the organization on course.

    Strategic changes: altering the overall shape ordirection of the organization.

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    LEVELS OF CHANGE

    Individual level change

    Group level change

    Organizational level change

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    FACTORS LEADING TO CHANGE.

    Economic

    factors

    competition

    Nature of workForce.

    technology

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    Forces ForForces ForChangeChange

    WorkforceWorkforce

    CompetitionCompetition

    WorldWorld

    PoliticsPolitics TechnologyTechnology

    SocialSocialTrendsTrends

    EconomicEconomicShocksShocks

    Forces of Change

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    External Forces Internal Forces

    Competition Laws and

    regulations

    Strategy modifications

    New technologies New equipmentLabor market shifts New processes

    Business cycles Workforce composition

    Social change Job restructuring

    Compensation and benefits

    Labor surpluses and shortages

    Employee attitude

    Forces of Change

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    THE CHANGE PROCESS

    Becoming aware of the pressure for change

    Recognizing the need for change

    Diagnosing the problem

    Planning the change

    Implementing the change

    Following upon the change

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    SOURCES OF RESISTANCE TO

    CHANGE

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    Why Do Employees

    Resist Change?

    Surprise

    Unannounced significant changes threaten employees sense ofbalance in the workplace.

    Inertia

    Employees have a desire to maintain a safe, secure, andpredictable status quo.

    Misunderstanding and lack of skills

    Without introductory or remedial training, change may beperceived negatively.

    Poor Timing Other events can conspire to create resentment about a

    particular change.

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    Why Do Employees Resist Change? (contd)

    Emotional Side Effects

    Forced acceptance of change can create a sense ofpowerlessness, anger, and passive resistance to change.

    Lack of Trust

    Promises of improvement mean nothing if employees do nottrust management.

    Fear of Failure

    Employees are intimidated by change and doubt their abilities tomeet new challenges.

    Personality Conflicts Managers who are disliked by their managers are poor conduits

    for change.

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    Threat to Job Status/Security

    Employees worry that any change may threaten their

    job or security.

    Breakup of Work Group Changes can tear apart established on-the-job social

    relationships.

    Competing Commitments

    Change can disrupt employees in their pursuit ofother goals.

    Why Do Employees Resist Change? (contd)

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    Education and Communication

    Show those effected the logic behind the change

    Participation

    Participation in the decision process lessens resistance

    Building Support and Commitment

    Counseling, therapy, or new-skills training

    Implementing Change Fairly

    Be consistent and procedurally fair

    Manipulation and Cooptation

    Spinning the message to gain cooperation Selecting people who accept change

    Hire people who enjoy change in the first place

    Coercion

    Direct threats and force

    TACTICS FOR OVERCOMING RESISTANCE TO CHANGE

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    LEWINS FORCEFIELD THEORY OF

    CHANGE

    Unfreezing

    Change efforts to overcome the pressures of both

    individual resistance and group conformity

    Unfreeze Move Refreeze

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    Movement

    A change process that transform s the organisation from

    the status quo to a desired end state.

    Refreezing

    Stabilizing a change intervention by balancing driving and

    restraining forces

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    Driving Forces

    Forces that direct behavior away from the status

    quo

    Restraining Forces

    Forces that hinder movement from the existing

    equilibrium

    Lewin: Unfreezing the Status Quo

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    Dominos Effect

    The Domino Effect is a chain reaction that

    occurs when a small change causes a similar

    change nearby, which then will cause another

    similar change and so on in a linear sequence. It typically refers to a linked sequence of events

    where the time between successive events is

    relatively small.

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    ORGANIZATIONAL DEVELOPMENT

    Organizational Development (OD)

    A collection of planned interventions, built on

    humanistic-democratic values, that seeks to

    improve organizational effectiveness and employee

    well-being

    OD Values

    Respect for people

    Trust and support

    Power equalization

    Confrontation

    Participation

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    Characteristics of OD

    Planned change

    Comprehensive change

    Emphasis upon work group

    Long range change

    Participation of change agent

    Emphasis on intervention.

    Collaborative environment

    Action research.

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    PRE-REQUISITE FOR OD

    Participation of work team, including the formal leader.

    An open, educational philosophy about the theory of OD

    Development of internal OD resources and facultativeskills

    Effective management of the OD process andstabilization of changes

    Monitoring the process and measuring of results

    Involvement of personal and industrial relations

    Initial top level involvement The introduction of OD into the system as behavioral

    science consultant

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    6 OD TECHNIQUES

    1. Sensitivity Training

    Training groups (T-groups) that seek to change behavior through

    unstructured group interaction

    Provides increased awareness of others and self

    Increases empathy with others, listening skills, openness, and

    tolerance for others

    2. Survey FeedbackApproach

    The use of questionnaires to identify discrepancies among member

    perceptions; discussion follows and remedies are suggested

    3. Process Consultation (PC)

    A consultant gives a client insights into what is going on around the

    client, within the client, and between the client and other people;

    identifies processes that need improvement.

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    4. Team Building

    High interaction among team members to increase trust and openness

    5. Intergroup Development

    OD efforts to change the attitudes, stereotypes, and perceptions that

    groups have of each other

    6. Appreciative Inquiry

    Seeks to identify the unique qualities and special strengths of anorganization, which can then be built on to improve performance

    Discovery: Recalling the strengths of the organization

    Dreaming: Speculation on the future of the organization

    Design: Finding a common vision

    Destiny: Deciding how to fulfill the dream

    6 OD TECHNIQUES

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    THANKYOU!!!!